How hotels can reduce operational costs using cloud technology

Looking for options to reduce hotel operational costs? Read on to know more.

For hoteliers, reducing operational costs is a must to ensure increased profit margin. Hotelogix helps hoteliers with latest cloud technology to maintain a sound financial health while dealing with fierce competition.

Automate your operations, save on man-hour

Managing daily operations at hotels is not an easy job. Handled manually, the process can become prone to error. Plus, you will have to have your staff spending time doing huge amount of mundane and unproductive tasks. In this case, a cloud Hotel PMS can help you efficiently by bringing in higher level of automation. It helps you in automating everything including –

Less cost of ownership, save on IT infrastructure

With a cloud-based Hotel PMS, you don’t have to worry about cost of ownership. Reason – the upfront investment is less and there is no ongoing maintenance cost when compared to an on-premise hotel PMS. Here are some points that helps you reduce costs and save on Capex -

You don’t have to invest on server at your property to host your data as the cloud PMS provider does this for you

You need not to have a dedicated IT team to maintain your hardware setup

You don’t have to spend on software upgrading costs

As you can access the PMS on your mobiles and tablets, it reduces your dependency on costly desktops

Eliminate billing errors, avoid financial loss

Manually handling billing process is bound to lead to discrepancies. At times, you may end up charging your guests for services they have not availed, which would leave them fuming. Or, you may update the guest folio with less value, which results in loss. So, how do you plug in revenue leakage and pilferage at your hotel? The answer is automation. In this case, a cloud PMS with an integrated accounting system can help you to –

Adopt mobility, improve operational capabilities

Labor cost makes up the largest portion of a hotel’s overall expenses. Then, how to deal with this? The answer is to adopt a mobile hotel app. It ensures inter-departmental communications, and helps you improve operational capabilities with less staff. With a smart mobile hotel app, you can -

Grow direct bookings, save on booking commission

This is another area of your operations, where you can reduce the cost of acquiring a booking to grow profit margin. Bookings coming to you directly are commission free, and you must have a proper planning to realize this. Additionally, acquiring a new guest is always costlier than retaining an existing guest. For this, you need to –

Serve guests better to win over their loyalty to make them keep coming to your property

Hoteliers across the globe are increasingly adopting cloud Hotel PMS to automate operations, increase staff efficiency, gain agility, and to scale up business. Ultimately, they do understand that automation is the key to reduce operational costs and to ensure enhanced profitability.

Do you want to leverage technology, too? Let Hotelogix help you in this.